Gift  Ifl&j 
P9nv 


(Communication) 
Conf  Pam  l2mo  #152 


CONFEDERATE  STATES  OF  AMERICA, 

Treasury  Department,  ) 
Richmond,  January  20th,  1862.       \ 

Hon.  Howell  Cobb, 

President  of  Congress  : 

Sir  :  In  pursuance  of  a  resolution  of  Congress  I  herewith 
communicate  the  accompanying  copies  of  circulars  issued  in 
respect  to  the  Produce  Loan.  I  have  not  been  able  to  as- 
certain and  classify,  until  the  19th  instant,  the  amount  of 
contributions  from  the  different  States ;  and  even  now,  the 
statement  made  is  subject  to  exception,  from  the  fact  that  in 
many  instances  portions  of  crops  are  subscribed  without  in- 
formation as  to  the  amount  of  the  whole  crops.  The  accom- 
panying statement  of  Mr.  DeBow  will  give  the  particula  - 

In  order  to  complete  the  arrangements  for  receiving  the 
loan,  I  have  appointed  agents  at  the  principal  points  of  de- 
livery, who  are  charged  with  the  duty  of  appointing  and 
superintending  agencies  at  the  smaller  places  of  deliverv. 
These  agents  are  all  to  be  paid  by  a  brokerage  comrnissioij. 
which  is  set  forth  in  the  6th  article  of  the  Instruction- 
the  Agents ;  and  as  it  is  not  usual  to  require  security  from 
brokers  entrusted  with  business  of  this  character,  I  have 
concluded  it  best  to  follow  the  usages  of  business  and  not  to 
require  security.  Such  a  requisition,  too,  would  prol 
deprive  us  of  the  benefit  of  first-class  agents,  more  especially 
as  the  commission  allowed  is  very  moderate. 

The  duties  of  the  Bureau  to  which  the  Produce  Loan  is 
assigned  are  greatly  increased,  and  its  correspondence  ex- 
tended. Its  details  require,  also,  that  one  of  the  best  clerks 
we  can  command  should  be  placed  at  its  head,  I  would, 
therefore,  respectfully  ask  of  Congress  the  allowance  of  a 
chief  clerk,  with  a  salary  of  $1,500,  in  addition  to  two  other 


2 

clerks,  with  a  salary  of  §1,000,  who  are  now  employed  under 
the  general  authority  given  to  the  Department  to  employ 
such  clerks  of  the  lowest  grade  of  salary  as  may  be  requisite 
for  its  service.  The  duties  which  are  required  of  a  chief 
clerk  have  heretofore  been  discharged  gratuitously  by  Mr.  J. 
D.  B.  DeBow. 

Very  respectfully, 

Your  obedient  servant, 

C.  G.  MEMMINGER, 

Secretary  of  t/ie  Treasury, 


CONFEDERATE  STATES  OF  AMERICA, 

Treasury  Department, 
Richmond,  January  16th,  1861. 

To  the  "Hon.  C.  G.  Memminger, 

Secretary  of  the  Treasury : 

Sir  :  The  nearest  approximation  I  can  make,  in  conse- 
quence of  1-4,  1-2  and  2-3  crops  being  subscribed  in  nume- 
rous cases,  is  as  follows  : 

ARTICLES    SUBSCRIBED    TO    PRODUCE    LOAN. 

Virginia, 1,000  Hhds.  tobacco,      5,000  bushels  wheat. 

Tennessee, 3,000  bales  cotton. 

South  Carolina,..   25,000       «         «  120,000  bushels  rice. 

Georgia, 75,000      "         "  150,000        «        « 

Alabama, 125,000      «        " 

Mississippi, 120,000      «         " 

Arkansas, 26,000      "        « 

Louisiana, 28,000      «        «  \  l'5™  Hhds.  sugar. 

(3,500    bbls.    molasses. 
Texas, 15,000      "        " 

418,000 

In  addition,  about  half  million  dollars  in  money  subscribed, 
and  about  the  same  value  in  other  produce.  I  have  reason 
to  think  that  there  are  lists  still  to  come  in,  which  will  swell 
the  loan  to  about  450,000  bales,  and  possibly  even  500,000 

(Signed.)  J.  D.  B.  DeBOW.. 


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TREASURY  DEPARTMENT,  C.  S.  A.,  > 
Richmond,  June  18th,  1861.      ) 

Gentlemen  :  The  Congress  of  the  Confederate  States  at  its 
last  session  passed  an  Act  authorizing  the  issue  of  bonds  for 
the  proceeds  of  the  sale  of  raw  produce  and  manufactured' 
articles. 

It  has  been  deemed  advisable  in  carrying  out  this  law  to 
circulate,  in  advance,  lists  for  subscription,  in  which,  every 
planter  can  indicate  the  portion  of  his  crop  which  he  is  dis- 
posed to  lend  for  the  support  of  the  Government.  It  is  pro- 
posed that  no  disturbance  shall  be  made  of  the  usual  arrange- 
ments of  each  planter  for  selling  his  crop ;  but  that  he  shall 
simply  indicate  the  portion  he  is  willing  to  subscribe,  the 
time  and  place  of  delivery,  and  the  factor  in  whose  hands  it 
is  placed  for  sale ;  and  shall  order  the  factor  to  exchange  the 
proceeds  of  sale  of  the  subscribed  portion  for  Confederate 
Bonds  bearing  eight  per  cent,  interest. 

Several  of  these  lists  are  herewith  sent  to  you,  and  you 
are  requested  to  act  as  Commissioners  in  bringing  the  same 
to  the  attention  of  the  people  of  your  District  or  County. 
You  will  use  your  discretion  as  to  the  best  mode  of  bringing 
the  matter  forward ;  but  it  is  suggested  that  it  would  be  de- 
sirable to  use  any  public  occasion,  and  to  induce  as  many 
gentlemen  as  you  can  to  make  individual  applications  to 
their  fellow-citizens. 

As  soon  as  you  shall  have  procured  as  many  signatures  as 
you  can  to  any  one  list,  you  will  please  forward  it  to  this 
Department.  To  provide  against  loss  of  any  list,  it  is  desi- 
rable that  they  should  be  signed  in  duplicate,  and  forwarded 
hj  different  mails. 

Respectfully, 


Secretary  of  Treasury. 


I 


CONFEDERATE  STATES  OF  AMERICA.  f 
Treasury  ^Department, 
Richmond,  October  loth,   1861.  ) 

The  Commissioners  Appointed  to  Receive   Subscriptions  to  t%i 
Produce  Loan  : 

Gentlemen  : 

Enquiries  have  been  made  from  various  quarters 

1.  Whether,  during  the  continuance  of  the  blockade,  ef- 
forts should  be  made  to  procure  further  subscriptions. 

2.  Whether  the  Government  will  authorize  promises  to 
be  held  out,  of  aid  to  the  planters,  as  an  inducement  to  such 
further  subscriptions. 

The  first   inquiry  seems  to  imply  a  misunderstandm 
the  scheme  of  the  subscriptions.     Many  persons  have  sup- 
posed that  the  Government  was  to  have  some  control  of  the 
produce  itself;    others  that  the  time  of  sale  appointed  \  \ 
the  subscription  was  to  be  absolute  and  unconditional.     The 
caption  at  the  head  of  the  lists,  when  examined,  will  correct 
both  these  errors.     The   subscription  is  confined  to  the  pro- 
ceeds of  sales,  and  contains  an  order  on  the  commission  mer- 
chant, or  factor  of  the  planter,  to  pay  over  to  the  Treasurer 
the  amount  subscribed,  in  exchange  for  Confederate  Bonds. 
The  transaction  is  simply  an  agreement  by  the  planter  to 
lend  the  Government  so  much  money ;  and,  in  order  to  com- 
plete the  transaction,  a  time  and  place   are  appointed  when 
and  where  the  parties  may  meet  to  carry  it  out.     The  im- 
portant point  is,  that  it  shall  certainly  be  completed  at  some 
time,  and  that  is  secured  by  the  engagement  of  the  planter. 
Whether  that  time  be  December  or  June,  is   simply  a  ques- 
tion of  convenience,  and  works  no  injury  to  either   party. 
The  Government  is  sure  of  the  eventual  payment,  and  dt  - 
rives  from  that  certainty  so  much  credit ;  and  it  loses  noth- 
ing, because  it  gives  its  bond  only  when  the  money  is  paid 
It  is  obvious,  therefore,  that  the  subscriptions  are  quite  as 
valuable  to  the  Government  during  the  blockade,  as  after  ir. 
The  blockade  simply  suspends  the  completion  of  the  engage- 
ment.    It  becomes  the  interest  of  both  parties  to  wait  for  a 


good  price,  and  the  Government  will*  readily  consent  to  a 
postponement  of  the  sale. 

You  perceive,  therefore,  that  it  is  desirable  to  continue 
your  exertions  to  increase  the  subscriptions;  and  you  are 
authorized  to  say  that  the  Government  will  consent  to  a 
reasonable  extension  of  the  time  appointed  for  sales. 

2.  The  next  inquiry  is  as  to  a  promise  of  material  aid 
from  the  Government  to  the  planters. 

In  answering  this  enquiry,  I  am  to  speak  in  advance  of 
any  action  of  Congress.  What  that  body  may  see  fit  to  do, 
ir  is  not  for  me  to  determine.  I  can  express  merely  the 
views  of  this  Department,  and  these  must  govern  your  ac- 
tion, until  reversed  by  a  higher  authority.  It  would  be  a 
sufficient  answer  to  the  enquiry,  to  say  that  the  action  of  the 
Government  is  settled  by  the  Constitution.  No  power  is 
granted  to  any  Department  to  lend  money  for  the  relief  of 
any  interest.  Even  the  power  of  Congress  in  relation  to 
money  is  confined  to  borrowing,  and  no  clause  can  be  found 
which  would  sanction  so  stupendous  a  scheme  as  purchasing 
the  entire  crop,  with  a  view  to  aid  its  owners.  But  it  may 
be  said  that  the  Constitution  of  the  Provisional  Government 
may  be  altered  by  Congress,  and  that  it  is  the  duty  of  this 
Department  to  prepare  the  way  for  such  alteration,  if,  in  its 
aeni,  the  financial  necessities  of  the  country  demand 
the  change. 

I  am  not  disposed,  then,  to  close  the  enquiry  with  the  ab- 
j  ipt  answer  thus  made  by  the  Constitution;  and  will  proceed 
joasider  the  subject  upon  its  intrinsic  merits. 

Two* plans  of  relief  have  been  proposed.  The  one  is,  that 
the  Government  should  purchase  the  entire  crop  of  the  coun- 
try; the  other,  that  an  advance  should  be  made  of  part  of 
its  value.  In  either  case  the  payment  is  to  be  made  by  the 
issue  of  Treasury  notes,  and  therefore,  if  we  put  aside,  for 
the  present,  the  many  and  serious  objections  to  the  posses- 
sion, transportation  and  management  of  the  crop  by  the 
( Government,  it  becomes  simply  a  question  of  amount.  To 
purchase  the  whole  crop  would  require  its  whole  value^  less 
the  amount  of  the  subscriptions  made  to  the  Government. 
If  we  estimate  the  whole  crop  cf  cotton  at  200  millions,  and. 
the  subscriptions  at  50  millions,  the  purchase  would  then 
require  150  millions  of  Treasury  notes,  and,  if  to  this  sum 
be  added  the  amount  of  values  for  other  agricultural  pro- 
ducts, which  would  certainly  claim  the  same  benefit,  the  sum 
required  would  probably  reach  175  millions.. 


9 

The  amount  called  for  by  the  other  plan  of  making  an  ad- 
vance, would  depend  upon  the  proportion  of  that  advance. 
Few  of  the  advocates  of  this  plan  have  put  it  lower  than  5 
cents  per  pound  on  cotton,  and  at  the  same  rate  upon  other 
produce.  It  may,  therefore,  be  very  fairly  set  down  at 
about  one  hundred  millions. 

If  we  consider  first,  the  least  objectionable  of  these  plans, 
it  is  certainly  that  which  requires  the  smaller  sum ;  and  if 
this  be  found  impracticable,  the  larger  must  of  necessity  be 
rejected.  Our  enquiry,  then,  may  be  narrowed  down  to  a 
proposal  that  the  Government  should  issue  100  millions  of 
Treasury  notes,  to  be  distributed  among  the  planting  com- 
munity upon  the  pledge  of  the  forthcoming  crop. 

The  first  remarkable  feature  in  this  scheme  is,  that  it  pro- 
poses that  a  new  Government,  yet  struggling  for  existence, 
should  reject  all  the  lessons  of  experience,  and  undertake 
that  which  no  Government,  however  long  established,  has 
yet  succeeded  in  effecting.  The  "  organization  of  labor" 
has  called  forth  many  ingenious  attempts,  both  speculative 
and  practical,  among  well-established  Governments,  but  al- 
ways with  disastrous  failure.  With  us,  however,  the  experi- 
ment is  proposed  to  a  new  Government,  which  is  engaged  in 
a  gigantic  war,  and  which  must  rely  on  credit  to  furnish 
means  to  carry  on  that  war.  Our  enemies  are  in  possession 
of  all  the  munitions  and  work-shops  which  have  been  col- 
lected during  forty-five  years  of  peace — their  fleets  have 
been  built  up  at  our  joint  expense.  With  all  these  on  hand, 
they  yet  are  obliged  to  expend  nearly  ten  millions  of  dollars 
per  week  to  carry  on  the  war.  Can  we  expect  to  contend 
with  them  at  less  than  half  that  expenditure  ?  Supposing 
that  it  may  require  200  millions  of  dollars ;  then  the  propo- 
sal is,  that,  at  a  time  when  we  are  called  upon  to  raise  this 
large  sum  for  the  support  of  Government,  we  shall  raise  a 
further  sum  of  100  millions  for  the  benefit  of  the  planting 
interest. 

For  it  must  be  observed,  first,  that  the  Government  re- 
ceives no  benefit  whatever  from  this  advance.  The  money 
is  paid  to  each  individual  planter,  and,  in  exchange,  the 
Government  receives  only  his  bond  or  note — or,  if  the  cot- 
ton be  purchased,  the  Government  receives  only  certain 
bales  of  cotton.  That  is  to  say,  the  Government  pays  out 
money  which  is  needful  to  its  very  existence,  and  receives, 
in  exchange,  planters'  notes  or  produce,  which  it  does  not 
need  and  cannot  in  any  way  make  use  of. 


10 

It  mast  be  observed,  in  tbe  next  place,  that  Treasury 
Notes  have  now  become  the  currency  of  the  country.  They 
are,  therefore,  at  present,  the  measures  of  value.  In  this 
view  it  is  the  duty  of  the  Government  to  limit  their  issue, 
as  far  as  practicable,  to  that  amount  which  is  the  limit  of  its 
currency.  Every  person  acquainted  with  this  branch  of  po- 
litical science,  is  aware  that  if  the  currency  passes  this  point, 
it  not  only  becomes  depreciated,  but  it  disturbs  the  just  re- 
lations of  society,  precisely  as  though  an  arbitrary  authority 
should  change  the  weights  and  measures  of  the  country. 
If  the  currency  of  a  country  should  be  suddenly  extended 
from  one  hundred  to  two  hundred  millions  of  dollars,  that 
which  was  measured  by  one  dollar  is  now  measured  by  two, 
and  every  article  must  be  rated  at  twice  its  former  price. 
Of  course  all  contracts  are  disturbed.  The  debt  incurred 
before  the  increase,  is  discharged  by  paying  one-half  its 
former  value ;  and  each  article  purchased  must  be  paid  for  at 
double  its  former  price.  The  Government,  from  the  neces- 
sities of  war,  is  the  largest  of  all  purchasers,  and  thus,  by  a 
kind  of  suicidal  act,  compels  itself  to  pay  two  dollars  for 
what  one  would  have  formerly  purchased.  And,  at  this  rate 
of  advance,  two  hundred  millions  of  dollars  can  eftect  no 
more  than  one  hundred  millions  of  dollars  would  have  effected 
before ;  or,  in  other  words,  one  hundred  millions  of  dollars 
are  actually  sunk  in  the  operation. 

Such  a  condition  of  the  currency  the  Government  has 
anxiously  endeavored  to  guard  against.  The  war  tax  was 
laid  for  the  purpose  of  creating  a  demand  for  Treasury 
Notes,  and  a  security  for  their  redemption.  Their  redun- 
dancy has  been  carefully  guarded  against,  by  allowing  them 
to  be  funded  in  eight  per  cent,  bonds.  If  necessity  shall 
compel  the  Government  to  issue  for  the  defence  of  the  coun- 
try, and  to  keep  out  two  hundred  millions,  it  is  plain  that 
every  accession  must  impair,  and  may  defeat,  all  these  pre- 
cautions. 

If  the  Government  should  undertake,  for  the  sake  of  pri- 
vate interests,  so  large  an  increase  of  issues,  it  may  hazard 
its  entire  credit  and  stability.  The  experiment  is  too  dan- 
gerous, and  relief  for  the  planters  must  be  sought  in  some 
other  direction.     And  may  not  that  remedy  be  found  ? 

In  the  first  place,  let  the  planters  immediately  take  mea- 
sures for  winter  crops,  to  relieve  the  demand  for  grain  and 
provisions.  Let  them  proceed  to  divert  part  of  their  labor 
from   cotton,  and  make   their  own   clothing   and   supplies. 


11 

Then  let  them  apply  to  the  great  resource  presented  by  the 
money  capital  in  banks  and  private  hands.  Let  this  capital 
•come  forward  and  assist  the  agricultural  interest.  Hereto- 
fore the  banks  have  employed  a  large  part  of  their  capital 
in  the  purchase  of  Northern  exchange.  Let  them  apply  this 
portion  to  factors'  acceptances  of  planters'  drafts  secured  by 
pledge  of  the  produce  in  the  planters'  hands.  An  extension 
of  the  time  usually  allowed  on  these  drafts  would  overcome 
most  of  the  difficulties.  This  extension  could  safely  reach 
the  probable  time  of  sale  of  the  crops,  inasmuch  as  the  sus- 
pension of  specie  payments  throughout  the  entire  Confede- 
racy, relieves  each  bank  from  calls  for  coin.  The  banks  are 
accustomed  to  manage  loans  of  this  character,  and  will  con- 
duct the  operation  with  such  skill  as  will  make  them  mu- 
tually advantageous.  The  amount  of  advance  asked  from 
the  banks  would  be  greatly  less  than  if  advances  were  offered 
by  the  Government ;  and  all  the  abuses  incident  to  Govern- 
ment agencies  would  be  avoided. 

It  seems  to  me,  therefore,  that  it  is  neither  necessary  nor 
expedient  that  the  Government  should  embark  upon  this  dan- 
gerous experiment.  It  is  far  better  that  each  class  of  the 
community  should  endeavor  to  secure  its  own  existence  by 
its  own  exertions,  and  if  an  effort  be  at  once  made  by  so 
intelligent  a  class  as  the  planters,  it  will  result  in  relief. 
Delay  in  these  efforts,  occasioned  by  vague  expectations  of 
relief  from  Government,  which  cannot  be  realized,  may  de- 
feat that  which  is  yet  practicable. 
Respectfully, 

Your  obedient  servant, 

C.  G.  MEMMINGER, 

Secretary  of  the  Treasury. 


CONFEDERATE  STATES  OF  AMERICA,  ^ 

Treasury  Department,  > 

Richmond,    November    25,    1S61.       ) 

To  the  Commissioners  appointed  for  Receiving  Subscriptions  to 
tlte  Confederate  Loan. 

Gentlemen — I  have  the  satisfaction  of  announcing  to 
you  that  the  whole  amount  of  the  Fifteen  Million  Loan  has 
been  taken  up ;  and  I  return  to  each  of  you  the  thanks  of 
the  Government  for  the  valuable  services  which  you  have 
gratuitously  rendered  in  taking  the  subscription. 

By  another  Act  of  Congress,  approved  August  19th, 
1861,  another  loan  has  been  authorized,  which  may  be  ex- 
tended, if  necessary,  to  one  hundred  millions  of  dollars. 
The  Produce  Loan  will  probably  take  up  one-half  of  this 
amount.  Another  portion  will  be  taken  up  in  funding 
Treasury  Notes,  and  the  remainder  is  open  to  subscription 
by  our  citizens. 

Thus  far,  we  have  found  both  the  patriotism  and  the 
means  of  our  people  sufficient  for  all  the  demands  of  the 
Government,  and  upon  these  resources  we  shall  continue  to 
rely.  I  have,  therefore,  to  request  you  to  continue  your 
agency  in  receiving  subscriptions. 

The  bonds,  or  stock,  to  be  raised  will  bear  eight  per  cent, 
interest,  payable  semi-annually,  as  heretofore,  and  are  sus- 
tained by  a  pledge  of  the  faith  and  property  of  the  Con- 
federate States.  To  secure  the  punctual  payment  of  interest 
and  principal,  Congress  has  directed  the  levy  of  a  direct 
tax,  which  is  ample  to  that  end. 

The  bonds  and  stock  will  be  issued  at  dates  payable  every 
six  months,  after  the  expiration  of  two  years  from  1st 
January,  1864,  up  to  a  period  of  18  years:  a  subscriber 
may,  therefore,  select  securities  for  any  date  that  may  suit 
his  convenience,  from  two  to  eighteen  years,  until  the  issue 
for  such  period  shall  be  exhausted. 

The  mechanical  arrangements  necessary  for  such  an  issue 
involve  considerable  delay  and  inconvenience,  to  overcome 
which  I  propose  in  all  cases  to  issue,  at  first,  certificates  of 


14 

stock  for  the  amount  subscribed,  payable  at  the  period  pre- 
ferred by  the  subscriber.  These  certificates  will  be  ex- 
changed for  coupon  bonds,  payable  at  the  same  date,  upon 
request  of  the  holder. 

New  books  will  be  sent  to  you,  with  appropriate  blank  re- 
ceipts. Upon  payment  of  the  money  subscribed,  in  Trea- 
sury Notes,  or  bank  notes  current  at  par  in  the  commercial 
metropolis  of  the  State,  you  will  issue  to  the  subscriber  a 
receipt  for  the  same,  in  which  can  be  specified  the  period 
and  amount  of  the  stock  certificate  or  bonds  which  he 
prefers.  The  money  you  will  send  to  the  nearest  Assistant 
Treasurer,  or  Depositary  of  the  Confederate  States,  with  a 
statement  of  particulars,  and,  on  presentment  of  the  receipt, 
the  Treasurer  or  Depositary  will  deliver  the  certificate  and 
stock  to  the  subscriber-  or  his  order.  It  will  hasten  the  de- 
livery, if  you  will  send  to  this  Department,  weekly,- a  du- 
plicate of  your  returns  to  such  Assistant  Treasurer  or  De- 
positary. 

Inscribed  stock  will  be  issued  in  all  cases  where  it  is  pre- 
ferred. Such  preference  you  will  please  indicate  in  the 
receipt  you  give  the  subscriber,  and,  also,  in  your  return  of 
the  subscription  money  to  the  Assistant  Treasurer  or  De- 
positary. 

Very  respectfully, 

Your  obedient  servant, 

C.  G.  MEMMINGER, 

Secretary  of  Treasury. 


INSTRUCTIONS  FOR  THE  AGENTS  FOR  COLLECT- 
ING SUBSCRIPTIONS  TO  THE  PRODUCE  LOAN. 

CONFEDERATE  STATES  OF  AMERICA,  j 

Treasury  Department,  \ 

Richmond,  January  3d,  1862.  ) 

The  following  Instructions  are  issued  for  the  guidance  and 
direction  of  the  Agents  for  collecting  subscriptions  to  the 
Produce  Loan  : 

1 .  The  General  Agents  will  immediately  on  the  receipt  of 
the  Lists  of  Subscriptions  from  the  Register  of  the  Treasu- 
ry, appoint  a  subordinate  Agent  at  each  place  in  the  State  in 
which  he  is  appointed,  where  subscriptions  are  to  be  paid, 
(other  than  the  place  of  his  own  residence,)  and  shall  report 
the  same  for  the  approval  of  the  Secretary  of  the  Treasury, 
and  shall  furnish  such  Agent  with  Lists  of  the  Subscriptions 
payable  at  such  place. 

2.  At  the  time  appointed  for  the  sale  of  any  produce,  or 
whenever  such  sale  shall  take  place,  the  Agent  shall  apply 
for  the  proceeds  due  under  the  subscription,  and  may  re- 
ceive the  same  in  coin,  Treasury  Notes,  or  approved  Foreign 
Bills  of  Exchange  drawn  against  the  sale,  and  taken  at  the 
current  market  rate ;  and  for  the  said  proceeds,  shall  deliver 
to  the  subscriber  a  receipt  exchangeable  for  Bonds  or  Stock, 
to  be  issued  under  the  Act  of  August,  1861,  for  such  period 
beyond  five  years  as  the  subscriber  may  select ;  and  if  the 
particular  period  shall  have  been  exhausted,  the  nearest  re- 
maining will  be  furnished  instead. 

3.  Each  sub- Agent  will  report  and  pay  weekly  to  the 
General  Agent  of  his  Division,  or  to  such  Assistant  Treas- 
urer or  Depositary  as  he  may  direct,  all  moneys  collected. 

4.  The  General  Agents  will  report  weekly  to  the  Secre- 
tary of  the  Treasury,  and  at  same  intervals  deposit  all  mo- 
neys received  with  the  nearest  Assistant  Treasurer  or  De- 
positary. 

5.  The  General  Agents  will  receive  from  the  Treasurer 
the  Bonds  or  Certificates  of  Stock  called  for  by  the  receipts, 
and  will,  with  the  aid  of  their  sub- Agents  be  the  medium  to 
exchange  the  same  with  the  holders  of  the  receipts. 


16 

6.  The  compensation  of  both  General  and  sub- Agents 
•shall  be  a  brokerage  at  the  following  rates ;  but  no  broker- 
age shall  be  charged  by  the  General  Agent  on  moneys  paid 
•over  by  the  sub-Agents : 

RATES  OF  BROKERAGE  COMMISSIONS  TO  BE  ALLOWED. 

On  all  sums  of  $100,000  and  under,  one-half  of  one  per 
cent,;  on  all  sums  over  $100,000,  and  less  than  $500,9U0, 
one-fourth  of  one  per  cent,  additional ;  on  all  sums  over 
$500,000,  and  less  than  $1,000,000,  one-eighth-  of  one  per 
cent,  additional;  and  on  all  sums  over  $1,000,000,  one-six- 
teenth of  one  per  cent,  additional,  until  the  whole  compen- 
sation of  any  one  Agent  shall  reach  $3,000,  beyond  which, 
no  charge  shall  be  allowed. 

7.  All  Agents  shall  have  authority  to  receive  additional 
subscriptions,  and  are  earnestly  requested  to  take  all  meas- 
ures in  their  power  to  procure  the  same ;  and  they  will  be 
furnished  with  blank  Subscription  Lists  for  that  purpose. 

8.  Whenever  a  proposal  is  made  to  subscribe  Army  sup- 
plies in  kind,  the  Agent  to  whom  it  is  made  shall  report  the 
same  to  the  nearest  Quartermaster  or  Commissary,  and 
upon  a  certificate  of  the  value  as  adjusted  by  such  officer, 
and  that  the  article  has  been  received,  the  said  Agent  shall 
issue  a  receipt  for  the  amount  so  certified,  and  report  the 
same  to  his  principal,  or  to  this  Department. 

C.  G.  MEMMINGER, 
Secretary  of  the  Treasury., 


CONFEDERATE  STATES  OF  AMERICA, 

Treasury  Department,  > 
Richmond,  January,  1862.      > 

[treasury  circular.] 

To  the  Commissioners  for  taking  Subscriptions  to  the  Confede- 
rate Loan : 

Gentlemen:  Since  my  circular  of  November  25th,  1861, 
Congress  has  passed  a  law  offering  increased  facilities  for 
investment,  which  I  now  respectfully  request  you  to  bring 
to  the  notice  of  persons  having  money  to  invest. 

Treasury  Notes  have  now  become  a  received  and  general 
circulation.  Any  holder  of  $500  of  such  notes  may  receive 
an  interest  of  six  per  cent,  upon  them,  by  depositing  them 
with  any  Assistant  Treasurer  or  Depositary  of  the  Confede- 
rate Government.  These  officers  are  to  be  found  at  Rich- 
mond, Wilmington,  Charleston,  Savannah,  Mobile,  New 
Orleans,  Galveston,  Memphis  and  Nashville.  Upon  making 
the  deposit,  a  certificate  for  the  same  will  be  issued,  bearing 
interest  at  the  rate  of  six  per  cent,  per  annum,  and  re-ex- 
changeable at  the  will  of  the  holder  for  Treasury  Notes.  It 
will  be  perceived  that  this  arrangement  is  equivalent  to  a 
deposit  on  call,  upon  which  six  per  cent,  interest  may  be 
had. 

I  would,  also,  request  you  to  bring  to  the  notice  of  capi- 
talists that  Treasury  Notes  may  at  any  time  be  exchanged 
for  Bonds  or  Registered  Stock  of  the  Confederate  States, 
bearing  an  interest  of  eight  per  cent,  per  annum,  payable 
semi-annually — the  said  Bonds  or  Stock  to  be  payable  at  any 
period  between  three  years  and  eighteen  years,  at  the  plea- 
sure of  the  holder  of  the  Notes.  The  exchange  can  be  made 
by  depositing  the  Notes  with  any  of  the  above-named  offi- 
cers of  the  Government,  or  with  any  of  the  Commissioners 
who  have  heretofore  acted  in  receiving  money  for  the  Con- 
federate Loan. 

Such  of  you  as  may  receive  any  such  deposits  will  issue 
a  receipt  for  the  same,  in  the  form  heretofore  determined,. 
2 


18 

rand  will  please  forward  the  Notes  deposited  to  the  nearest 
Assistant-Treasurer  or  Depositary,  with  a  report  of  the  par- 
ticulars requisite  for  the  issue  of  Bonds  or  Stock. 

You  will,  also,  be  pleased  to  continue  your  agency  in  dis- 
posing of  Bonds  or  Stock  in  conformity  with  the  circular  of 
November  25th.  The  plan  of  finance  adopted  by  Congress, 
contemplated  that  Treasury  Notes  should  be  the  received 
medium  of  payment  of  Government  dues,  as  soon  as  a  suffi- 
cient amount  of  them  should  be  in  circulation  ;  and  as  it  is 
believed  that  such  an  amount  is  now  in  circulation,  you  are 
requested  hereafter  to  require  that  Treasury  Notes  should 
in  all  cases  be  paid  for  the  Bonds. 
Respectfully, 

Your  obedient  servant, 

C.  G.  MEMMINGER, 

Secretary  of  Treasury. 


peamalife* 

PH8.5 


